Bitcoin Companies Started to Make the Industry Green

A Toronto-based investment firm, Ninepoint Partners, managed $9 billion in assets. At the same time, the bitcoin mining company, a New York-based power provider, Greenidge Generation, announced that they would begin to use carbon offsets. It will be for compensating for any carbon emissions.

Carbon offsets allow companies such as Greenidge and Ninepoint to pay for a reduction in carbon dioxide emissions to compensate for carbon emissions resulting from their business practices. The company announced that it would offset greenhouse gas emissions by June 2021from its bitcoin mining operations.

According to a recent release, Greenidge plans to purchase voluntary carbon offsets from greenhouse gas reduction projects of the U.S. portfolio. Three recognized Offset Project Registries certified and reviewed each project, ensuring that Greenidge-funded projects reduce emissions. Also, it should ensure that those projects increase the sequestration of greenhouse gas.

In the meantime, Ninepoint will use some of its management fees for paying 100% for its offsets. It has to happen to compensate for any carbon produced by bitcoin mining held in an exchange-traded fund.

Bitcoin Investors and Their Green Politics

Most investors are trying to find ways to show that they are green and take care of the environment. They want to be seen as aware of climate change and the importance of environmental issues.

A recent survey found that 44% of financial institutions hold a green bond, and 76% of financial managers are already factoring in environmental and social criteria while making decisions.

Swiss National Bank last year excluded coal miners from the portfolio of their equities. Also, the Bank of Japan recently indicated that it was planning to take action on climate change.

The managing director of Ninepoint’s digital assets group, Alex Tapscott, told Bitcoin Magazine that corporate, environmental, and social governance is considered one of the fastest-growing categories. According to him, it’s the most important in today’s investment industry. Many investors experience a dilemma as they want to meet standards, but they don’t want to limit their investments. Investors indeed want real solutions for their portfolios.

As part of its carbon offset program, Ninepoint’s ETF decided to contribute to the Amazon in forest conservation projects.

Tapscott said they are working with CarbonX, which helps them identify projects that meet their strict standards. Two of the projects are the Tambopata-Bahuaja Biodiversity Reserve and the Cordillera Azul National Park in Peru.